Revealed comparative advantage end Turkey's competitiveness against European Union: A case study for selected agricultural products

ABSTRACTMaster ThesisRevealed Comparative Advantage and Turkey?s Competitiveness Against EuropeanUnion: A Case Study For Selected Agricultural ProductsZehra Ceren M RALDokuz Eylul UniversityInstitute of Social SciencesDepartment of European UnionTurkey?s application for association with the European EconomicCommunity (EEC) was made in 1959. The Association Agreement (AnkaraAgreement) signed between Turkey and European Union in 1963 has led topartial trade liberalisation and increased trade. In 1996 Customs Union wascreated between Turkey and the European Union. Turkey is a candidatecountry since 1999. At present, over 50 per cent of Turkey?s trade is with theEuropean Union. Turkey maintaines a positive agricultural trade balance withthe EU.The study aims to determine the competitiveness of Turkey?s fresh fruitand vegetable sector against European Union in the global market for the 1994-2005 period. This analysis is based on revealed comparative advantage (RCA).The findings of the RCA, which is used to indicate the revealed comparativeadvantage, suggest that Turkish fresh fruit and vegetable sector has revealedcomparative advantage vis-a-vis the European Union. According to the findings,generally Turkish fresh fruit and vegetable sector lost its competitive powerbetween 1994-2005. Turkey?s competitive power higher than EU in grape,citrus and nuts.Key Words: 1) Revealed Comparative Advantage, 2) Competitiveness, 3) TurkishFresh Fruit and Vegetable Sector, 4) Turkey-EU RelationsV